Company Formation Switzerland

CHECK COMPANY
NAME AVAILABILITY (Step 1)



Articles

Set up a liaison office in Switzerland

Updated on Tuesday 01st September 2015

Rate this article
5 5 1
based on 3 reviews


A liaison office in Switzerland does not have its own legal personality, consequently, it is not separated by the parent company's heritage, doesn't have a distinct name or trade name or own property. When experiencing financial difficulties, the parent company will be liable for the office's debts.

 

The procedure of setting up a liaison office in Switzerland is less demanding, being in a strong dependence with the company which opens it.

The representative office has no legal or economic autonomy and depends on the principal company. It does not have the power to enter into contracts and its employees do not have the authority to bind the company. Moreover, when the liaison office wants to conclude commercial activities in the country where it was opened, it must necessarily have the recourse of the main company.

 

There are few formalities to be followed in order to set up a liaison office in Switzerland, starting with the submitting of a declaration of existence at the center for business formalities of the chamber of commerce and industry. However, this procedure does not enter the representative office in the Commercial Register, as this form can not function as an independent company. The only restriction is provided for the representative office of a foreign bank that still needs the authorization of the Swiss Federal Banking Commission before they can operate.

 

When setting up a liaison office in Switzerland, the founders must be aware that, as long as it doesn't conclude any sale and is not directly providing service to the clients of the foreign company, it is not subject to income tax. Moreover, as it doesn't make any sales and works exclusively on behalf of the foreign office, it is not subject to VAT. However, the foreign company can reclaim the VAT charged on the costs of installing and finance liaison office.

 

A liaison office in Switzerland is not engaged in activities of a professional nature and it is not subject to territorial economic contribution. However, there must be paid the property tax.

 

When it comes to set up a liaison office in Switzerland, the founders must be aware that, for payroll services and social duties, all staff (excluding expatriates) falls within the general scheme provided by the law. The liaison office is subject to the same obligations as social enterprises in the country in which it operates.

 

The liaison office is a more flexible than a branch structure. However, when it comes to exercise a commercial activity, it is treated as a permanent establishment and therefore subject to the same legal, tax and financial obligations as a branch structure.

 

Contact our Swiss company formation specialists for further information and legal advice for setting up a liaison office in Switzerland.

Comments

There are no comments

Comments & Requests


Please note that client queries should NOT be posted here but sent through our Contact page.

Meet us in Zug


Call us now at  +41 41 266 0070   to set up an appointment with our experts in Zug, Switzerland. As a Sig Fiduciaire client, you will beneficiate from the expertise of our local consultants for opening a company in Switzerland.

We offer:

- cost-efficiency: competitive company formation prices;

- prompt response to your inquiry (maxim 24 hours);

- free and complete legal information featured on our site, at your disposal.

Online Incorporation

tax-calculator-switzerland

Tax Calculator

tax-calculator-switzerland

Testimonials

Francesco-Dagnino.jpg

I worked with colleagues at CompanyFormationswitzerland.com on numerous occasions and each time they proved their dedication in helping my clients open companies in Switzerland.

Francesco Dagnino, Partner of
Lexia Avvocati
www.LawyersItaly.eu

Read more testimonials

We Recommend ClientPedia

This website is marketed by ClientPedia

Banner-Promoting ClientPedia-244px.jpg

We accept online payments

paypal-logo.png